Market terms and conditions and approval of board

(1) Any transaction permitted by this Part shall– (a) be on terms and conditions that are at least as and approval favourable to the licensee as market terms and of board. conditions; and (b) have the prior approval of the board of directors of the licensee. (2) For the purposes of sub-section (1), “market terms and conditions” means– (a) in respect of a service or a loan facility or a deposit facility offered to the public by the licensee in the ordinary course of business, terms and conditions that are no more or less favourable than those offered to the public by the licensee in the ordinary course of business; and (b) in respect of any other transaction– (i) terms and conditions, including those relating to price, rent or interest rate, that might reasonably be expected to apply in a similar transaction in an open under requisite to a fair transaction between parties who are at arm’s length and who are acting prudently, knowledgeably and willingly, or (ii) if the transaction is one that would not reasonably be expected to occur in an open market between parties who are at arm’s length, terms and conditions, including those relating to price, rent 121 or interest rate, that would reasonably be expected to provide the licensee with fair value, having regard to all the circumstances of the transaction, and that would be consistent with the parties to the transaction acting prudently, knowledgeably and willingly.